UK retail sales fall as consumer confidence tumbles
Warm weather and higher fuel costs weighed on clothing and supermarket sales, while consumer confidence posted its sharpest monthly fall since early in the pandemic.
- British retail sales fell 0.4% in September, according to the Office for National Statistics reported Friday. The decline was steeper than the 0.1% drop economists had predicted.
- Warmer weather dragged on demand for autumn and winter clothing, weighing on online vendors and supermarket volumes last month. However, the ONS noted total sales volumes rose 0.7% for the third quarter of 2026.
- Motor fuel sales rose 2.2% in September, returning to levels seen before the conflict in the Middle East began, ONS senior statistician Hannah Finselbach stated. Growth was led by fuel despite recent price increases.
- Consumer confidence suffered its sharpest month-on-month fall since the COVID-19 pandemic, as shoppers remain cautious ahead of next week's Budget announcement by finance minister John Healey. Uncertainty weighs on near-term spending.
- Major retailers including Tesco and Sainsbury have recently upgraded annual profit guidance, though they warn of increased inflation pressure in 2027 and challenging consumer conditions ahead. Mixed signals complicate the outlook.
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25 Articles
Sales volumes in the UK retail fell 0.4% in the monthly comparison in September 2026, a sharper decline than the 0.1% expected by the market, after a high revised upwards of 0.7% in August. Online clothing retailers reported a weaker demand for autumn and winter collections in the midst of an atypically hot climate, while the lower flow of customers and consumer spending restraint weighed on clothing, footwear, sports goods and household goods s…
UK Retail Sales Fall More Than Forecast
UK retail sales declined more than expected in September as warm weather weighed on clothing and supermarket sales, data released by the Office for National Statistics showed on Friday. Retail sales decreased 0.4 percent in September, reversing a rise of 0.7 percent in August and exceeded economists' forecast of a 0.1 percent fall.
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